"SNOWBALL TRADING."
SCHEME FOR CHEAP BUYING. LABOUR M.P. CRITICAL. "Snowball trading" is sweeping England. Firms are setting up business, and their method is this: — Anyone willing to subscribe money in cash is promised delivery at the end of six months, with no further payment, of goods many times the value of the original sum, provided that he induces ten friends to put down cash under similar conditions. The offer sounds so attractive that thoxisands of people, particularly in the north, have been persuaded to sink their savings in the scheme. > Mr. Alfred Edwards, Labour M.P. for East Middlesbrough, recently criticised the scheme. "Take a typical case," he said. "You pay £4, are promised a new £16 wireless set in six months' time. In the meanwhile you get 10 of your friends to do the same. "By the time your set is due for delivery, the promoters have collected £44 in all. They exist on the six months' lag, but meanwhile their liabilities mount with dreadful rapidity as more simpletons are drawn in. And they can never meet all their debts."
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https://paperspast.natlib.govt.nz/newspapers/AS19371217.2.187
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Auckland Star, Volume LXVIII, Issue 299, 17 December 1937, Page 17
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180"SNOWBALL TRADING." Auckland Star, Volume LXVIII, Issue 299, 17 December 1937, Page 17
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